2021 Novant Health form 990.
The following describes how executive leadership compensation is established at Novant Health, a not-for-profit organization. Listed below are the members of Novant Health Executive Team and the value of their 2021 compensation and benefits.
Our organization considers an employee's compensation personal and private; however, we also recognize the importance of transparency and public interest in how tax-exempt, not-for-profit organizations establish compensation and benefits for its top leaders.
Novant Health prepares and files annually a Form 990 with the Internal Revenue Service (IRS) that discloses important financial information about the organization, including executive compensation and benefits. These annual information returns follow IRS rules and regulations, but they can be easily misinterpreted because of their complexity. We hope you find the summary on this page useful.
How executive compensation is established
- The Novant Health Board of Trustees, which consists of community leaders from organizations and businesses, establishes executive compensation. Novant Health executives are not involved in determining their own compensation and benefits.
- Because Novant Health is a tax-exempt, not-for-profit organization, its executive compensation must follow very specific checks and balances. Compensation must be considered "reasonable" and within an acceptable range compared to similar organizations. Executive compensation and benefits are established by comparing Novant Health to other similar health systems and organizations around the country that are comparable in size, complexity and reputation. The Board hires national, independent experts who guide trustees in this benchmarking process and help assure that compensation and benefits do not exceed fair market value.
- Compensation is designed to be competitive and to help recruit and retain leaders. Novant Health establishes executive base salaries in the same way it establishes compensation for all employees, by using market data and comparing to similar jobs.
- A significant part of executive compensation is based upon the performance of the organization and achieving goals that are challenging, balanced and focused on improving the services we provide to patients and communities. The executive team performs in the top quartile nationally. Novant Health's goals focus on the quality and safety of healthcare, improving the patient experience, transforming to an electronic health record, financial stewardship and providing community benefit.
Novant Health provided more than $1.1 billion in community benefit, including financial assistance and services, in 2021. Novant Health is a very complex organization with over 35,000 employees, annual operating revenues of $7 billion, 15 medical centers and more than 800 locations. This complexity is taken into consideration by the compensation consultant and the committee when establishing its peer group.
Novant Health system executive compensation
|Novant Health System Executive Team||Title||2021 Base Salary Compensation||2021 Incentive Compensation||2021 Total Annual Compensation||2021 Other Compensation, such as Retirement Payments or Severance||Nontaxable Benefits such as life and health insurance, disability||Accounting accruals for deferred compensation|
|Carl Armato||President & CEO Novant Health||2,029,555||1,620,785||3,650,340||762,125||43,512||17,400|
|Executive vice president and chief administrative officer Novant Health||722,221||532,390||1,254,611||183,768||30,641||17,400|
|John Gizdic||Executive vice president and chief business development officer Novant Health||827,594||650,000||1,477,594||38,774||33,146||191,289|
|Fred Hargett||Executive vice president and chief financial officer Novant Health||1,000,226||858,077||1,858,303||386,617||42,267||17,400|
|Jeffery Lindsay||Executive vice president and chief operating officer Novant Health||1,106,258||945,887||2,052,145||267,936||32,064||17,400|
|Denise Mihal||Executive vice president, chief nursing and clinical operations officer||811,781||696,048||1,507,829||214,267||20,476||17,400|
|Pamela Oliver||Executive vice president and president of Novant Health Physician Network||652,604||483,377||1,135,981||58,012||33,313||186,028|